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Journal of Labor Economics Vol. 42 No. 2 2024

Robots and Employment: Evidence from Japan, 1978–2017

Daisuke Adachi1,2; Daiji Kawaguchi3,2,4; Yukiko Saito5,2

1 Aarhus University · 2 Research Institute of Economy, Trade and Industry · 3 IZA - Institute of Labor Economics · 4 The University of Tokyo · 5 Waseda University

open access

Abstract

This paper studies the relationship between industrial robots and employment in Japan on the basis of a unique dataset that allows us to calculate the unit price of robots. Our model combines standard factor demand theory with a recent task-based approach to derive a simple estimation equation between robot prices and employment, and our identification strategy leverages heterogeneous applications of robots across industries and heterogeneous price changes across applications. We find that the decline in robot prices increased both the number of robots and employment by raising the productivity and production scale of robot-adopting industries.

DOI
10.1086/723205
Volume
42
Issue
2
Pages
591-634
Language
en
Sources
bibtex:phds-export.bib openalex crossref

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